Isn’t the goal of most private equity strategies to eventually dump their stock, to cash out, even if it means paying big-board fees? (Did I say “dump” – I meant, lovingly “share”, pun intended).

You ignore the role of price discovery. Apple may not have issued since forever, but they sure like the currency of a highly valued stock, even more so when everyone can see just how big it is.

]]>By: Guambathttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23968
Tue, 15 Feb 2011 16:46:39 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23968“The NYSE is place for algorithms and speculators to make bets on financial assets.” Well put. I’da been disagreeable if you had said “place bets”, which is what they’d have you believe. They’re manufactured. Just like the pokies.
]]>By: guanixhttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23966
Tue, 15 Feb 2011 16:04:21 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23966@sanchk: It definitely is, because some firm decisions, such as the choice of dividends vs. repurchases, can affect the tax paid by shareholders and thus the value of the stock.
]]>By: Ugottabesickhttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23961
Tue, 15 Feb 2011 11:41:56 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23961The capital markets will continue to attract funds as long as the profit motive is strong enough. The Stock Exchanges will continue to perform their role till a more transparent and efficient form of trading comes into existence. Algorithms may drive trading, but never, investing.
Way forward: Abolish tax on dividends, as profits are distributed only after payment of Corporate Taxes. This will make dividend distribution and capital raising a two way street.
]]>By: MShameshttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23960
Tue, 15 Feb 2011 11:00:53 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23960Perceptive comments about the vanishing US equity markets. However, the implications are even greater than Felix suggests. Our entire retirement system depends upon robust
capital markets and open access to these markets.

I’ve written further about this, please see: http://bit.ly/gG7npz.

Thanks.

]]>By: sanchkhttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23959
Tue, 15 Feb 2011 09:25:27 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23959Re. your income tax point, do you think it’s the role of firms to think about the taxes which their shareholders have to pay? I know as a law abiding citizen that I have to pay taxes on income. Why should a firm be making decisions for me as to when I can earn money or not? If I don’t want to pay taxes on any earnings, then I shouldn’t bother making any earnings (legally speaking)… so why invest in a company!?
]]>By: adamt78http://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23957
Tue, 15 Feb 2011 05:16:01 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23957Felix is the winner again! Financials aren’t everything. There is still a big workforce to organize and attention to people is still at the top of the corporate mission.
]]>By: artammerhttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23955
Tue, 15 Feb 2011 04:23:17 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23955ownership society? it seems to me that the more stock americans owned..the worse the market has performed..
what were mutual funds in the 50′s thru 70′s? Only rich people seemed to own stocks..Once the mutual fund craze hit in the wild 80′s ..leading to the 87 crash..what followed?
the 2001 crash, the 2007 thru 2009 crash..Too bad I was too stupid to buy at 7000 just recently. You are correct this is just a casino , not a serious investment platform..maybe our brightest members of society can spend their time doing something really productive.
]]>By: Woltmannhttp://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23954
Tue, 15 Feb 2011 02:30:32 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23954Really now, somebody actually still owns stocks? How quaint ..
]]>By: Samdog_07http://blogs.reuters.com/felix-salmon/2011/02/14/why-the-stock-market-is-increasingly-irrelevant/comment-page-1/#comment-23951
Tue, 15 Feb 2011 02:10:14 +0000http://blogs.reuters.com/felix-salmon/?p=7277#comment-23951Felix — Thanks for that sweet NYT piece. The only question I have is how much longer Wall Street, the place, can fend off the online market. Why do we even need a physical Wall Street? I thought the whole point is more and more efficiency, no?
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